DTRT Health Acquisition in an 8-K filing said Consumer Direct Holdings had terminated a merger agreement with the SPAC. As a result, DTRT's sponsor resolved to make no further contributions to the SPAC's trust for deadline extensions. Without those deposits, DTRT said in the filing it is thus obligated to liquidate and redeem shares as soon as practicable.
The notice terminates the merger agreement as of Jan. 11.
Announced in September the transaction implied an enterprise valuation for the target of $681 million.
Based in Missoula, Montana, Consumer Direct is a national in-home personal care provider offering in-home care assistance and customer service to older adults and people with disabilities who require long-term care and support with activities of daily living.
The transaction was expected to deliver $234 million of cash held in the SPAC's trust account and up to $150 million in debt financing. Read more.
Source: DTRT Health Acquisition will Liquidate After Terminating Consumer Direct Deal